TNAG-1947-FCO40-2773-Hongkong-and-Shanghai-Banking-Corporation-1989 — Page 3

Explanatory Memorandum

The name of The Hongkong and Shanghai Banking Corporation

Limited before 6 October 1989 was "The Hongkong and Shanghai Banking

Corporation". The purpose of this Bill is to amend the Bank Notes

Issue Ordinance

(a) to provide that any bank notes bearing the former name,

whether issued before, on or after that date, shall be

deemed to be bank notes lawfully issued and legal tender

for the purposes of that Ordinance. (New section 5(a) and

(b) at clause 2);

(b)

(c)

2.

to provide that section 14 of The Hongkong and Shanghai

Banking Corporation Limited Ordinance (Cap. 70), which.

specifies when a bill of exchange or promissory note is

deemed to have been made, accepted or indorsed on behalf of

The Hongkong and Shanghai Banking Corporation Limited,

shall apply to bank notes bearing the former name. (New

section 5(c) at clause 2); and

to provide that section 93 of the Companies Ordinance (Cap.

32) which, inter alia, requires a company to mention its

name in all promissory notes signed by or on its behalf,

shall not apply to bank notes issued by a note-issuing

bank. (New section 5A at clause 2).

Clause 1(2) provides that the Bill shall be deemed to have

come into operation on 6 October 1989, the date on which the change

of name occurred.

3.

The Bill has no Public Service staffing or public

expenditure implications.